Western Australia remains the second most affordable place in the country to rent and buy, according to figures from the latest Real Estate Institute of Australia (REIA) Housing Affordability Report.
The report determines affordability based on what proportion of the median weekly family income is required to service loan repayments and pay rent in the respective state or territory.
WA still the most affordable state to buy in
WA rates as the most affordable state to buy a house in, with 28.2 per cent of a familys income needed to meet average loan repayments. This is equal to the Australian Capital Territory (28.2 per cent) and second only to the Northern Territory, where the proportion of income needed to meet repayments is 26.1 per cent.
To put that into perspective, New South Wales had the highest decline in affordability, with 47.7 per cent of a familys income now needed to cover loan repayments.
Across the country, housing affordability declined in general, with families needing to spend 38.4 per cent on average to service home loans.
WA maintains its position as second most affordable place in the country to rent
WA is still the second most affordable place in the country to rent, with the proportion of family income required to make median rental payments 19.8 per cent for the June quarter.
Victoria is only slightly more affordable for rent than WA with 19.3 per cent of family income required to meet rental payments. Tasmania remains the most expensive place to rent, where the proportion of income used sits at 29.6 per cent.
Investors needed to boost rental market
WA continues to be an affordable place to buy and rent, however more investors are needed to help boost rental stock levels and meet demand.
(1).png "REIA Housing Affordability Report June 2022 Quarter")
